Table of Contents
Key Takeaways
- Seven asset managers filed amendments for spot XRP ETFs.
- Analysts say filings reflect SEC feedback, boosting approval hopes.
- BlackRock absent from the XRP ETF race despite leading in BTC, ETH ETFs.
Grayscale, Bitwise, and Others File Spot XRP ETF Amendments
On Friday, several asset managers, such as Grayscale, Bitwise, Canary, CoinShares, Franklin, 21Shares, and WisdomTree, submitted updated S-1 statements to the U.S. Securities and Exchange Commission (SEC). These statements relate to their spot XRP exchange-traded funds (ETFs). Such coordinated filings indicate that there is a growing trend towards the first spot XRP ETF’s approval in the United States.
The information is a follow-up to the anticipation that has been building up, for months, among investors that the SEC might approve such funds, considering the launch of these vehicles as a milestone for a wider adoption of crypto. However, the regulator has still not given the green light to a spot XRP ETF. Nevertheless, the amendments have been read by the market as a positive indication that the applicants’ reply to the regulator’s comments.
Why the Filings Matter for XRP Investors
Bloomberg ETF analyst James Seyffart explains that the time and content of the filings clearly indicate that the asset managers are targeting the SEC’s specific concerns. “Almost certainly due to feedback from SEC,” Seyffart wrote on X, adding that the filings are a “good sign, but also mostly expected.”
The new documents seem to provide intraday flexibility, whereby both XRP or cash creations and redemptions can be performed as opposed to the latter being just redemptions in cash. Such a change could enhance the fund’s effectiveness and be compatible with what is already happening in the market for other crypto ETFs.
Industry Reactions Highlight Optimism
One action that was well appreciated within the financial community, was the coordinated one. Nate Geraci, president of NovaDius Wealth, underlined the importance of the multiple simultaneous filings. “Highly notable to see them cluster like this,” Geraci expressed on X. “Very good sign IMO.”
The spirit mirrors the positive mood among the analysts and market participants, who think that the time for approval might be nearer than what was considered before. Most of the SEC’s concerns regarding crypto spot ETFs approvals have been based on fears of market manipulation and custody practices. The new setups that are depicted in the amendments may elevate the problems.
BlackRock’s Absence in the XRP ETF Race
One of the most conspicuous things which the race for the XRP ETF could not spot is BlackRock. The latter is currently in charge of the largest spot Bitcoin and Ethereum ETFs in the world. While it is extremely dominant in the crypto ETF market, on its way to The Block earlier this month, BlackRock made it clear that it has no intentions of filing for an XRP ETF anytime soon.
Therefore, Grayscale and Bitwise can grab the opportunity and get the first-mover advantage if the green light is given. On the other hand, the XRP market has also received the news well and the token has jumped 7% to $3.08 during Friday’s wider crypto rally.
Summary
The simultaneous filings from Grayscale, Bitwise, and five other firms mark a pivotal moment in the pursuit of a spot XRP ETF. By addressing SEC feedback and introducing more flexible fund structures, asset managers are signaling their readiness to meet regulatory expectations. While BlackRock remains absent from the XRP race, optimism in the market is growing, with analysts viewing the amendments as a positive step toward eventual approval. For XRP investors, the filings reinforce the possibility of a new wave of institutional adoption on the horizon.
Also Read: Bitcoin ETFs See $312M Outflows, Ethereum ETFs Face $240M
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